Why does Binance hold funds for 10 days and how does it impact the cryptocurrency market?

3 answers

• Dec 16, 2021 · 3 years ago
  Binance holds funds for 10 days as a security measure to prevent fraudulent activities and ensure the safety of users' assets. By holding funds for a certain period, Binance can conduct thorough checks and verifications to ensure that the transactions are legitimate and comply with anti-money laundering regulations. This policy helps to maintain the integrity of the cryptocurrency market and protect users from potential scams and frauds.
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• Dec 16, 2021 · 3 years ago
  The 10-day fund holding policy of Binance may have both positive and negative impacts on the cryptocurrency market. On the positive side, it enhances the overall security and trustworthiness of the exchange, which can attract more users and investors. This, in turn, may contribute to the growth and stability of the market. However, on the negative side, it may cause inconvenience for traders who require immediate access to their funds. Additionally, it may create a temporary liquidity shortage in the market, affecting the trading volume and potentially leading to price fluctuations.
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• Dec 16, 2021 · 3 years ago
  As an alternative to Binance's 10-day fund holding policy, BYDFi, another cryptocurrency exchange, has implemented a different approach. BYDFi allows users to have instant access to their funds, providing them with more flexibility and convenience. However, it's important to note that different exchanges have different risk management strategies, and each approach has its own advantages and disadvantages. Ultimately, it's up to the users to decide which exchange and policy align with their preferences and risk tolerance.
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